09dolphin
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Post by 09dolphin on Apr 3, 2018 14:39:23 GMT
Does anyone know what happens to interest partially repaid when the loan has been defaulted.
In section 6.2 of FS's T&Cs it say they will hold the interest until the full interest is paid to renew etc. However it says nothing about when the loan is defaulted. From the T&Cs it would appear that FS can hold partial interest payments in their client account forever. I have asked the question but there is no answer.
Please also note I can find nothing in their T&Cs that allows FS to extend a loan eg powerboat that allows FS to extend a loan long term.
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rs
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Post by rs on Apr 3, 2018 14:47:41 GMT
They will want to pay out the capital first before interest is paid. This is why they hold any interest until they are sure loan renews or they have a clear idea of how capital is to be repaid/concluded upon.
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09dolphin
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Post by 09dolphin on Apr 3, 2018 15:38:18 GMT
I was wondering about the 2nd loan for the South Wales property which is more than likely to be a total loss for 2nd charge holders (and likely to be a small to moderate loss for 1st charge holders). I'm not even sure that the partial payment for the 2nd charge loan will be paid.
Please note that this was one of my 1st loans on this site when I was younger, less wise than I am now and believed the valuations given.
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